ESG & Investing
Oil Producers Flush With Cash Cut Reliance on Loans
- Demand for bank funding fell in 2022 and again in 2023
- The drop occurred after two years of rising oil prices
An offshore drillng platform in Norway.
Photographer: Carina Johansen/BloombergThis article is for subscribers only.
Last year, the demand for loans from fossil-fuel companies fell 6% year-on-year and that followed a decline of 1% in 2022.
From a climate perspective, this may sound like good news because the drop in bank lending to oil, gas and coal companies should mean less investment and less production over time.